(1)F1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2)F1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3)F1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4)In this section F2. . . , Part VIII, Chapter IV of Part X and Part XI, except in so far as the context otherwise requires—
(a)“profits” means income and chargeable gains; and
(b)“trade” includes “vocation”, and also includes an office or employment or the occupation of woodlands in any context in which the expression is applied to that in the Income Tax Acts.
[F3(4A)F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
(5)Part VIII contains general provisions relating to the taxation of profits of companies.
Textual Amendments
F1S. 6(1)-(3) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 2(2), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F2Words in S. 6(4) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 2(3), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F3S. 6(4A) inserted (6.4.2005 with effect in accordance with s. 883(1) of the amending Act) by Income Tax (Trading and Other Income) Act 2005 (c. 5), Sch. 1 para. 6 (with Sch. 2)
F4S. 6(4A) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 2(4), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
Modifications etc. (not altering text)
C1S. 6 applied (6.3.1992 with effect as mentioned in s. 289(1)(2) of the amending Act) by Taxation of Chargeable Gains Act 1992 (c. 12), ss. 1(2), 289 (with ss. 60, 101(1), 171, 201(3)).
C2 See 1988(F) s.148and Sch.14 Part Vfor repeals which will take place from 6April 1993.
(1)F5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2)Subject to the provisions of the Corporation Tax Acts, where a company resident in the United Kingdom receives any payment on which it bears income tax by deduction, the income tax thereon shall be set off against any corporation tax assessable on the company F6. . . for the accounting period in which that payment falls to be taken into account for corporation tax (or would fall to be taken into account but for any exemption from corporation tax); and accordingly in respect of that payment the company, unless wholly exempt from corporation tax, shall not be entitled to a repayment of income tax before the assessment for that accounting period is finally determined and it appears that a repayment is due.
(3)M1 Subsection (2) above does not apply to a payment of relevant loan interest to which section 369 applies.
(4)M2 References in this section to payments received by a company apply to any received by another person on behalf of or in trust for the company, but not to any received by the company on behalf of or in trust for another person.
F7(5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F7(6). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F7(7). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F5S. 7(1) repealed (6.4.2007 with effect in accordance with s. 1034(1) of the repealing Act) by Income Tax Act 2007 (c. 3), Sch. 1 para. 5, Sch. 3 Pt. 1 (with Sch. 2)
F6Words in s. 7(2) repealed (with effect as mentioned in Sch. 27 Pt. 3(28) Note of the amending Act) by Finance Act 1998 (c. 36), s. 165, Sch. 27 Pt. 3(28)
F7S. 7(5)-(7) repealed (with effect as mentioned in Sch. 27 Pt. 3(28) Note of the amending Act) by Finance Act 1998 (c. 36), s. 165, Sch. 27 Pt. 3(28)
Modifications etc. (not altering text)
C3 See—1970(M) s.94—set off to be disregarded in computing penalty for failure to deliver a return.1990 ss.98and 132and Sch.19 Part Vfor changes in relation to income tax falling to be set off against corporation tax for accounting periods ending after the appointed day (see 1988 s.10).
C4S. 7(2) applied (with modifications) (with effect in accordance with s. 105(1) of the applying Act) by Finance Act 1996 (c. 8), s. 91(2) (with Schs. 10, 11, 15)
C5S. 7(2) excluded (1.9.2009) by The Authorised Investment Funds (Tax) Regulations 2006 (S.I. 2006/964), reg. 69Z57 (as inserted by The Authorised Investment Funds (Tax) (Amendment) Regulations 2009 (S.I. 2009/2036), regs. 1, 24)
Marginal Citations
M1Source—1982 s.26(7)
M2Source—1970 s.240(7)
F8. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F8S. 8 repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 3, Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F9S. 8A inserted (27.7.1993) by 1993 c. 34, s. 206(2)
F10S. 8A repealed (29.4.1996) by Finance Act 1996 (c. 8), ss. 138, 205, Sch. 24 para. 10, Sch. 41
(1)F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2)F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
[F12(2A)F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2B)F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2C)F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
(3)F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4)F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5)Where F13. . . any enactment applies both to income tax and to corporation tax—
(a)it shall not be affected in its operation by the fact that they are distinct taxes but, so far as is consistent with the Corporation Tax Acts, shall apply in relation to income tax and corporation tax as if they were one tax, so that, in particular, a matter which in a case involving two individuals is relevant for both of them in relation to income tax shall in a like case involving an individual and a company be relevant for him in relation to that tax and for it in relation to corporation tax; and
(b)for that purpose references in any such enactment to a relief from or charge to income tax, or to a specified provision of the Income Tax Acts shall, in the absence of or subject to any express adaptation, be construed as being or including a reference to any corresponding relief from or charge to corporation tax, or to any corresponding provision of the Corporation Tax Acts.
(6)F14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F11S. 9(1)-(4) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 4(2), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F12S. 9(2A)-(2C) inserted (6.4.2005 with effect in accordance with s. 883(1) of the amending Act) by Income Tax (Trading and Other Income) Act 2005 (c. 5), Sch. 1 para. 7(2) (with Sch. 2)
F13Words in s. 9(5) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 4(3), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F14S. 9(6) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 4(4), Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
Modifications etc. (not altering text)
C6S. 9 restricted (24.3.2005) by Income Tax (Trading and Other Income) Act 2005 (c. 5), ss. 881, 883(3)(b) (with Sch. 2)
F15. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F15S. 10 repealed (with effect in accordance with s. 199(2) of the amending Act) by Finance Act 1994 (c. 9), s. 258, Sch. 26 Part 5(23), Note 4; S.I. 1998/3173, art. 2
[F16(1)F17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2)F17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2A)F17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
(3)F18. . . Where a company not resident in the United Kingdom receives any payment on which it bears income tax by deduction, and the payment forms part of, or is to be taken into account in computing, the company’s income chargeable to corporation tax, the income tax thereon shall be set off against any corporation tax assessable on that income F19. . . for the accounting period in which the payment falls to be taken into account for corporation tax; and accordingly in respect of that payment the company shall not be entitled to a repayment of income tax before the assessment for that accounting period is finally determined and it appears that a repayment is due.
(4)M3Subsection (3) above does not apply to a payment of relevant loan interest to which section 369 applies.
Textual Amendments
F16S. 11(1)-(2A) substituted for s. 11(1)(2) (with effect in accordance with s. 149(6) of the amending Act) by Finance Act 2003 (c. 14), s. 149(1)
F17S. 11(1)-(2A) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 5, Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F18Words in s. 11(3) repealed (27.7.1993 with effect in accordance with s. 103 of the amending Act) by 1993 c. 34, ss. 103, 213, Sch. 23 Pt.III
F19Words in s. 11(3) repealed (with effect as mentioned in Sch. 27 Pt. 3(28) Note of the amending Act) by Finance Act 1998 (c. 36), s. 165, Sch. 27 Pt. 3(28)
Modifications etc. (not altering text)
C7 See—1970(M) s.94(2)—set off to be disregarded in computing penalty for failure to make a return.1990 ss.98and 132and Sch.19 Part Vfor changes in relation to income tax falling to be set off against corporation tax for accounting periods ending after the appointed day (see 1988 s.10).
C8S. 11(3) applied (with modifications) (with effect in accordance with s. 105(1) of the applying Act) by Finance Act 1996 (c. 8), s. 91(2) (with Schs. 10, 11, 15)
Marginal Citations
M3SOURCE-1982 s. 26(7)
F21. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F20S. 11AA inserted (with effect in accordance with s. 149(6) of the amending Act) by Finance Act 2003 (c. 14), s. 149(2)
F21S. 11AA repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 6, Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
(1)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
[F23(5A)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
[F24(5B)F25. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
(6)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(7)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
[F26(7ZA)F22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
[F27(7A)F28. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
F30. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F31. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
[F32[F33(7C)F28. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]]
(8)Where it appears to the inspector that the beginning or end of any accounting period of a company is uncertain, he may make an assessment on the company for such period, not exceeding 12 months, as appears to him appropriate, and that period shall be treated for all purposes as an accounting period of the company unless either—
(a)the inspector on further facts coming to his knowledge sees fit to revise it; or
(b)on an appeal against the assessment in respect of some other matter the company shows the true accounting periods;
and if on an appeal against an assessment made by virtue of this subsection the company shows the true accounting periods, the assessment appealed against shall, as regards the period to which it relates, have effect as an assessment or assessments for the true accounting periods, and there may be made such other assessments for any such periods or any of them as might have been made at the time when the assessment appealed against was made.
[F34(9)F35. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F22S. 12(1)-(7ZA) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 7, Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)
F23S. 12(5A) inserted (with effect as mentioned in Sch. 4 para. 11(4) of the amending Act) by Finance Act 1996 (c. 8), s. 79, Sch. 24 para. 11(3)
F24S. 12(5B) inserted (with effect in accordance with Sch. 41 para. 5(1) of the amending Act) by Finance Act 2003 (c. 14), Sch. 41 para. 1(3)
F25S. 12(1)-(7ZA) repealed (with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 7, Sch. 3 Pt. 1 (with Sch. 2 Pt. 12)
F26S. 12(7ZA) inserted (with effect in accordance with Sch. 41 para. 5(1) of the amending Act) by Finance Act 2003 (c. 14), Sch. 41 para. 1(5)
F27S. 12(7A) inserted by Finance Act 1990 (c. 29), s.48, Sch.9 para.3 (in relation to transfers of business on or after 1.11.1990)
F28S. 12(7A)(7C) omitted (19.2.2008 with effect in accordance with art. 1(2) of the repealing S.I.) by virtue of The Insurance Business Transfer Schemes (Amendment of the Corporation Tax Acts) Order 2008 (S.I. 2008/381), arts. 1(1), 3
F29S. 12(7B) inserted (with effect in accordance with art. 14(4) of the amending S.I.) by The Financial Services and Markets Act 2000 (Consequential Amendments) (Taxes) Order 2001 (S.I. 2001/3629), art. 14(3)
F30S. 12(7B): words and definition of "contracts of long-term insurance" repealed (with effect in accordance with Sch. 10 para. 17(2) of the repealing Act) by Finance Act 2007 (c. 11), Sch. 10 para. 14(2)(a), Sch. 27 Pt. 2(10), Note
F31S. 12(7B): definition of "insurance business transfer scheme" repealed (with effect in accordance with Sch. 9 para. 17(1) of the repealing Act) by Finance Act 2007 (c. 11), Sch. 9 para. 1(2)(a), Sch. 27 Pt. 2(9), Note
F32S. 12(7C) inserted (with effect in accordance with Sch. 9 para. 20(7) of the amending Act) by Finance (No. 2) Act 2005 (c. 22), Sch. 9 para. 20(3)
F33S. 12(7C) substituted (with effect in accordance with Sch. 9 para. 17(1) of the amending Act) by Finance Act 2007 (c. 11), Sch. 9 para. 3(2)
F34S. 12(9) inserted (with effect in accordance with Sch. 10 para. 2 of the amending Act) by Finance Act 2006 (c. 25), Sch. 10 para. 43(2)
F35S. 12(9) repealed (1.4.2009 with effect in accordance with s. 1329(1) of the repealing Act) by Corporation Tax Act 2009 (c. 4), Sch. 1 para. 7, Sch. 3 Pt. 1 (with Sch. 2 Pts. 1, 2)